A regular meeting of the City
Council was held on Monday, April 25, 2005, at 7:00 p.m. in the Council
Chambers of City Hall.Mayor Black
presided.The Pledge of Allegiance to the
Flag was recited in unison.

MINUTES

Approval of the minutes of the
April 11, 2005 regular and April 18, 2005 special meetings was offered by
Councilman Myers and seconded by Councilman Rokosz.(Motion ADOPTED.)

2005 CDBG BUDGET

Assistant City Manager Jon Lynch
presented the proposed Community Development Block Grant Budget for Fiscal Year
2005-06.A public hearing opened at 7:18
p.m., recognizing no public comments, the hearing closed at 7:19 p.m.The following resolution was then offered by
Councilman Myers and seconded by Councilman Rokosz:

WHEREAS, the City of Midland will
receive $286,373 in Community Development Block Grant funds for fiscal year
2005-06; and

WHEREAS, $75,000 is expected to
be received in program income during the fiscal year, and approximately $80,000
will be carried forward from the prior fiscal year; and

WHEREAS, on March 7, 2005, the
Housing Commission recommended approval of this budget, and

WHEREAS, a public hearing was
held by the City Council on April 25, 2005, at 7:00 p.m., in the City Council
Chambers, City Hall, 333 West Ellsworth Street, Midland, Michigan, for the
purpose of receiving public comment on the pending action of the City Council
on the 2005-06 Community Development Block Grant Program, as set forth in the
attached table; now therefore

RESOLVED, that the City Council
hereby adopts the proposed 2005-06 budget, as set forth in the attached table
(Attachment A), for the proposed use of funds for the Community Development
Block Grant Program.(Motion ADOPTED.)

2005 DOWNTOWN ECONOMIC REVITALIZATION –
SPECIAL ASSESSMENT ROLL

City Assessor Reid Duford
introduced the special assessment roll for the 2005 Downtown Economic
Revitalization Public Improvement Special Assessment District.A public hearing opened at 7:22 p.m.,
recognizing no public comments, the hearing closed at 7:23 p.m.The following resolution was then offered by
Councilman McKeag and seconded by Councilman Johnson:

WHEREAS, pursuant
to due notice to all interested parties the City Council has duly met and
reviewed the proposed Special Assessments to be assessed and levied in the
Special Assessment Roll, prepared by the City Assessor to provide such part of
the cost of a certain revitalization program on the "2005 DOWNTOWN
ECONOMIC REVITALIZATION PUBLIC IMPROVEMENT SPECIAL ASSESSMENT DISTRICT",
as heretofore established, as should be paid upon the property therein
especially benefited and has heard and considered all objections made to said
Assessment and has made such corrections in said Roll as in its judgment ought
to be made, and the City Assessor being present at said hearing; now therefore

RESOLVED, that the
City Council does hereby determine that it is satisfied with said Special
Assessment Roll; and

RESOLVED FURTHER,
that the City Council does hereby determine that said assessments are in
proportion to benefits received; and

RESOLVED FURTHER,
that said Special Assessment Roll be and the same is hereby approved and
confirmed in all respects, in the amount of $72,010.00 and that the total
estimated cost of said improvements is $72,010.00, and the City at large cost
is zero (0); and

RESOLVED FURTHER,
that fifty (50) percent of the amount of said roll shall be collected during
the year of 2005, and fifty (50) percent of said roll shall be collected during
the year of 2006; and

RESOLVED FURTHER,
that the said roll shall be filed in the Office of the City Clerk, and the
Clerk is hereby directed to endorse on said roll the date of confirmation, and
that said Clerk is hereby directed to attach the warrant to a certified copy
within ten days, therein commanding the City Assessor to spread the various
sums and amounts appearing therein on a Special Assessment Roll or upon the
General Tax Roll of the City for the full amount or in annual installments as
directed by the City Council; and

RESOLVED FURTHER,
that said roll shall be forwarded to the City Assessor for spreading fifty (50)
percent of said Roll on July 1, 2005 without interest, and fifty (50) percent
of said roll on July 1, 2006 without interest.(Motion ADOPTED.)

DOW – IFT APPLICATIONS

City Assessor Reid Duford
presented information on an Industrial Facilities Exemption Certificate
application for The Dow Chemical Company for the construction of new facilities
for a market development plant at Michigan Operations and one for Dow
Agrosciences, LLC relating to new facilities for the production of a new
herbicide.A public hearing on both
applications opened at 7:25 p.m.Midland
Tomorrow Executive Director Jenee Velasquez spoke in support of the projects.Donald Taylor, Operation Leader for The Dow
Chemical Company Michigan Operations, gave a presentation outlining the market
development plant project and the Dow Agrosciences, LLC project and requested
Council’s support of these projects.The
hearing closed at 7:36 p.m.The
following two resolutions were then presented for consideration.

DOW CHEMCIAL COMPANY – IFT APPLICATION

The following resolution was
offered by Councilman Johnson and seconded by Councilman Myers:

WHEREAS, the
Michigan Division Dow Chemical Company Plant Rehabilitation District No. 1 was
established by resolution of the Midland City Council on September 25, 1978;
and

WHEREAS, The Dow
Chemical Company made an application dated March 10, 2005, which was received
by the City Clerk on March 10, 2005, for an Industrial Facilities Exemption
Certificate relating to approval of a new facility within said District; and

WHEREAS, the
application for the certificate is for approval of a new facility with the
total project cost of $1,400,000, which includes $1,355,000 in new personal
property and $45,000 in real property improvements with the same being located
within the Michigan Division Dow Chemical Company Plant Rehabilitation District
No. 1.This project will allow The Dow
Chemical Company to construct a market development plant at Michigan
Operations; and

WHEREAS, the City
Council, by written notice, afforded the applicant, the City Assessor, and
representatives of each affected taxing unit an opportunity for a hearing on
April 25, 2005, as required by Public Act 198 of Public Acts of the State of
Michigan of 1974, as amended, and has given due consideration to all
information presented; and

WHEREAS, the
application appears to comply with the requirements set forth in Section 9 of
said statute, as amended, in that the proposed facility is located within a
plant rehabilitation district that was duly established within the City of
Midland with the City of Midland being eligible under said statute to establish
such a district and with the district having been established upon a request
before the commencement of the restoration, replacement or construction of the
facility described herein; that the commencement of this project did not occur
earlier than six months before the filing of the application for the industrial
facilities exemption certificate, that the application relates to a
construction, restoration or replacement program that when completed
constitutes a new or replacement facility within the meaning of said statute
and is situated within a previously established plant rehabilitation district
that was established in the City of Midland which was itself eligible under the
statute to establish the district; that completion of the facility is
calculated to, and will at the time of the issuance of the certificate, have
the reasonable likelihood to create employment, retain employment, prevent a
loss of employmentor produce energy in
the community; now therefore

RESOLVED, that the
City Council of the City of Midland finds and determines that the granting of
the industrial facilities exemption certificate requested by The Dow Chemical
Company considered together with the aggregate amount of industrial facilities
exemption certificates previously granted and currently in force, shall not
have the effect of substantially impeding the operation of the City of Midland
or impairing the financial soundness of any other taxing unit which levies an
ad valorem property tax in the City of Midland; and

RESOLVED FURTHER,
that said application for an Industrial Facilities Exemption certificate from
The Dow Chemical Company for a new facility approval within the Plant
Rehabilitation District be and the same is hereby approved for a period of 12 years
with an ending date of December 30, 2017; and

RESOLVED
FURTHER, that the Mayor and City Clerk are authorized to execute the Public Act
198 Agreement submitted between the City and The Dow Chemical Company pursuant
to P.A. 334 of Public Acts of the State of Michigan of 1993.(Motion ADOPTED.)

DOW AGROSCIENCES, LLC – IFT APPLICATION

The following resolution was
offered by Councilman McKeag and seconded by Councilman Johnson:

WHEREAS, the
Michigan Division Dow Chemical Company Plant Rehabilitation District No. 1 was
established by resolution of the Midland City Council on September 25, 1978;
and

WHEREAS, Dow
Agrosciences, LLC made an application dated March 10, 2005, which was received
by the City Clerk on March 10, 2005, for an Industrial Facilities Exemption
Certificate relating to approval of a new facility within said District; and

WHEREAS, the
application for the certificate is for approval of a new facility with the
total project cost of $3,600,000, which includes $3,445,000 in new personal
property and $155,000 in real property improvements with the same being located
within the Michigan Division Dow Chemical Company Plant Rehabilitation District
No. 1.This project will allow Dow
Agrosciences, LLC to utilize assets that are presently idled in the 941
Building at Michigan Operations for the production of a new herbicide; and

WHEREAS, the City
Council, by written notice, afforded the applicant, the City Assessor, and
representatives of each affected taxing unit an opportunity for a hearing on
April 25, 2005, as required by Public Act 198 of Public Acts of the State of
Michigan of 1974, as amended, and has given due consideration to all
information presented; and

WHEREAS, the
application appears to comply with the requirements set forth in Section 9 of
said statute, as amended, in that the proposed facility is located within a
plant rehabilitation district that was duly established within the City of
Midland with the City of Midland being eligible under said statute to establish
such a district and with the district having been established upon a request
before the commencement of the restoration, replacement or construction of the
facility described herein; that the commencement of this project did not occur
earlier than six months before the filing of the application for the industrial
facilities exemption certificate, that the application relates to a
construction, restoration or replacement program that when completed
constitutes a new or replacement facility within the meaning of said statute and
is situated within a previously established plant rehabilitation district that
was established in the City of Midland which was itself eligible under the
statute to establish the district; that completion of the facility is
calculated to, and will at the time of the issuance of the certificate, have
the reasonable likelihood to create employment, retain employment, prevent a
loss of employmentor produce energy in
the community; now therefore

RESOLVED, that the
City Council of the City of Midland finds and determines that the granting of
the industrial facilities exemption certificate requested by Dow Agrosciences,
LLC considered together with the aggregate amount of industrial facilities
exemption certificates previously granted and currently in force, shall not
have the effect of substantially impeding the operation of the City of Midland
or impairing the financial soundness of any other taxing unit which levies an
ad valorem property tax in the City of Midland; and

RESOLVED FURTHER,
that said application for an Industrial Facilities Exemption certificate from
Dow Agrosciences, LLC for a new facility approval within the Plant
Rehabilitation District be and the same is hereby approved for a period of 12
years with an ending date of December 30, 2017; and

RESOLVED
FURTHER, that the Mayor and City Clerk are authorized to execute the Public Act
198 Agreement submitted between the City and Dow Agrosciences, LLC pursuant to
P.A. 334 of Public Acts of the State of Michigan of 1993.(Motion ADOPTED.)

2005-06 PROPOSED BUDGET

Fiscal Services Director David Keenan
presented an overview of the 2005-06 Proposed Budget.A public hearing opened at 7:46 p.m.,
recognizing no public comments, the hearing closed at 7:47 p.m.

PUBLIC COMMENTS

No public comments were made.

AVIATION ADVISORY COMMISSION – ORDINANCE AMENDMENT

City Engineer Brian McManus presented an
ordinance to amend Section 4-5 of the Code of Ordinances to change the member
representation on the Aviation Advisory Commission.Introduction and first reading of the
following ordinance amending Section 4-5 to change the member representation on
the Aviation Advisory Commission was then offered by Councilman McKeag and
seconded by Councilman Johnson:

ORDINANCE NO. ________

AN ORDINANCE TO AMEND THE CODE OF ORDINANCES,
CITY OF MIDLAND, MICHIGAN, BY AMENDING SECTION 4-5 OF ARTICLE I OF CHAPTER 4
THEREOF.

The City of Midland Ordains:

Section
1.Section 4-5 of the Code of
Ordinances is hereby amended to read as follows:

There is hereby created an aviation
advisory commission consisting of five (5) members.Two (2) of the members shall be active pilots
basing their airplanes or flying airplanes based at the Jack Barstow Municipal
Airport,;two (2) AND THREE (3) members shall be selected from
the public at large.; and one member shall be an appointed member of the
Tri-City Airport Commission who will represent the city on both the Tri-City
and the Jack Barstow Airport Commissions.

Section
2.This ordinance shall take
effect upon publication.

(Motion ADOPTED.Considered first reading.)

COMPREHENSIVE ANNUAL FINANCIAL REPORT – YEAR ENDED JUNE 30, 2004

Fiscal Services Director David Keenan
introduced Bruce Berend, Partner and Scott Janssen, Manager, from Plante and
Moran, LLP, who reviewed the City of Midland Comprehensive Annual Financial
Report for the year ending June 30, 2004.The following resolution was then offered by Councilman McKeag and
seconded by Councilman Johnson:

RESOLVED,
that the Comprehensive Annual Financial Report of the City of Midland for the
year ended June 30, 2004 is hereby received and ordered filed for public
examination.(Motion ADOPTED.)

DDA’s MAIN STREET PROGRAM APPLICATION

Downtown Development Authority Executive
Director Christin O’Callaghan presented a report on the Downtown Development
Authority’s application to the Michigan Main Street Program.The following resolution was then offered by
Councilman McKeag and seconded by Councilman Myers:

RESOLVED, that
the Mayor is authorized to sign letter of Support for the Downtown Development
Authority’s application to the Michigan Main Street Program.(Motion ADOPTED.)

BUSINESS-10 LANDSCAPING IMPROVEMENTS

Assistant City Manager Jon Lynch presented a
report on landscaping improvements and walkway installation by the Entranceways
Initiative Task Force (EITF) on the City owned property between Patrick Road
and Lyon Road (Business Route-10) from Washington Street to State Street.Dow Gardens Director and EITF Member Doug
Chapman responded to Council questions regarding selection and maintenance of
vegetation for this area.Matt Janson,
806 Vance Road, spoke in support of the project and encouraged the City to
connect this walkway with Downtown Midland and the Rail Trail on the west
end.The following resolution was then offered
by Councilman McKeag and seconded by Councilman Myers:

WHEREAS, the Entranceways Initiative Task
Force requested support from the City of Midland for landscape improvements and
walkway installation on the City-owned property between Patrick Road and Lyon
Road (Business Route-10) from Washington Street to State Street; and

WHEREAS, the Entranceways Initiative Task
Force presented a landscape and walkway plan for these improvements prepared by
Rowe Incorporated; and

WHEREAS, the City of Midland recognizes that
the Entranceways Initiative Task Force will be funding these improvements with
private resources from the Midland Area Community Foundation; and

WHEREAS, the City of Midland recognizes and
appreciates the numerous community beautification efforts made by the
Entranceways Initiative Task Force; now therefore

RESOLVED, that the Mayor and City Council of
the City of Midland, Michigan approve this landscape and walkway plan and
support the Entranceways Initiative Task Force’s efforts to improve this area.(Motion ADOPTED.)

POLICE DEPARTMENT ANNUAL BIKE AUCTION

The following resolution was offered by
Councilman Myers and seconded by Councilman Rokosz:

WHEREAS, the City has accumulated
unclaimed personal property at the Police Department and other departmental
surplus items that are no longer of use; now therefore

RESOLVED, that under the
provisions of Section 2-24 of the Midland Code of Ordinances, authorization is
given to sell such items at public auction on Saturday, May 7, 2005 with the
net proceeds being deposited in the General Fund or other appropriate City
funds.(Motion ADOPTED.)

CONFIRMED DDA REAPPOINTMENTS

The following resolution was offered by
Councilman Myers and seconded by Councilman Rokosz:

RESOLVED, that in accord with
Section 4 of Act 197 of 1975, the Downtown Development Authority Act, theCity Council confirms
the reappointment of Ann Beck, Sharon Kackmeister and Jack McCandless to the
Downtown Development Authority for terms to expire May 1, 2009.(Motion ADOPTED.)

2005 LOCAL STREET RECONSTRUCTION, PHASE
II CONTRACT NO. 7

The following resolution was offered by
Councilman Myers and seconded by Councilman Rokosz:

WHEREAS,
sealed proposals have been advertised and received in accord with Article II of
Chapter 2 of the Midland Code of Ordinances for the reconstruction and
resurfacing of all of Barstow Drive and Northgate Drive and intersection
improvements on Sugnet Road at Swede Avenue; and

WHEREAS, funding for this project is provided by the Local Street Fund;
now therefore

RESOLVED, that the low sealed proposal submitted by Johnston
Contracting, Inc. of Midland, Michigan, for the "2005 Local Street
Reconstruction, Phase II; Contract No. 7", in the indicated amount of
$209,630.00, based upon City estimated quantities is hereby accepted and the
Mayor and the City Clerk are authorized to execute a contract therefore in
accord with the proposal and the City's specifications; and

RESOLVED FURTHER, that the City Manager has
the authority to approve change orders modifying or altering this contract in
an aggregate amount not to exceed $20,000.(Motion ADOPTED.)

2005 PAVEMENT MARKING PROGRAM; CONTRACT
NO. 16

The following resolution was offered by
Councilman Myers and seconded by Councilman Rokosz:

WHEREAS, sealed proposals have been advertised and received in accord
with Article II of Chapter 2 of the Midland Code of Ordinances for the annual
pavement marking of major streets; and

WHEREAS, sufficient funding for this project is provided by the Major
Street Fund; now therefore

RESOLVED, that the sealed proposal submitted by Clark Highway Services,
Inc. of Lake City, Michigan, for the "2005 Pavement Marking Program;
Contract No. 16", in the indicated amount of $35,415.00, based upon City
estimated quantities is hereby accepted and the Mayor and the City Clerk are
authorized to execute a contract therefore in accord with the proposal and the
City's specifications; and

RESOLVED FURTHER, that the City Manager has
the authority to approve change orders modifying this contract in an aggregate
amount not to exceed $5,000, if sufficient funding exists.(Motion ADOPTED.)

DART REPLACEMENT BUSES

The following resolution was offered by
Councilman Myers and seconded by Councilman Rokosz:

WHEREAS, the City of Midland
requested replacement of three buses in the Dial-A-Ride fleet as part of the
annual state application for operating assistance in FY 2004; and

WHEREAS, the State of Michigan
Department of Transportation has approved said request for two of these buses
and has acquired the necessary funding for the purchases of these replacement
buses; now therefore

RESOLVED, that the purchase of
the buses through the State of Michigan Extended Purchasing Program is hereby
authorized; and

RESOLVED FURTHER, that, after the
new replacement buses are put into service, the old buses shall be sold in
accordance with Code Section 2-22 and 2-23, and the proceeds be used for
Dial-A-Ride operational expenses.(Motion ADOPTED.)

DDA TAX INCREMENT FINANCING PLAN AMENDMENT

The following resolution was offered by
Councilman Myers and seconded by Councilman Rokosz:

RESOLVED, that in accord with Section 11.6 of the Charter of the City of
Midland, a public hearing shall be conducted at 7:00 p.m., Monday, May 23, 2005
in the Council Chambers of City Hall on the proposal to amend the Downtown
Development Authority Tax Increment Financing Plan.(Motion ADOPTED.)